Property News

Property prices in Cambridge rise by £40,000 more in past year

Property prices in Cambridge have rocketed by an average of £40,000 in the last 12 months, according to a new report.

A typical buyer in the city faces paying 13 per cent more for a property than in November last year, according to property analyst Hometrack.

Average Cambridge property prices now stand at £338,500 – whilst the typical London prices are £403,200.

Compared with the previous peak in the market in 2007, London, Cambridge and Oxford have seen the biggest uplifts – with house prices in Cambridge now sitting at 28.7 per cent above their pre-financial crisis highs.

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But Hometrack said that those markets which have seen the strongest price growth are also now starting to see the clearest signs of a slowdown next year.

Richard Donnell, research director at Hometrack, believes the slowdown in London will act as a drag on the rate of house price growth across the UK.

He said: "The rate of growth in house prices is starting to lose momentum across other cities in southern England."

Ed Meyer, head of residential sales at Savills in Cambridge, told the News that the estate agent has had its "busiest year on record".

He said: "We have had an incredibly busy year and have seen an enormous number of enquiries. It's a wonderful place to live."

Mr Meyer believes people are looking to Cambridge because London property prices are "huge and choppy" and expected to come down in the next year.

He added: "Lots of people move out to Cambridge because it has great education and great transport links to London.

"It also has a very good cultural scene and the shops and restaurants are continuing to improve."

Chris Carey, head of residential at Cambridge property agent Bidwells, said the most recent figures were "no surprise" to them.

He said: "Cambridge tends to follow the capital more closely than other provincial towns and cities. World-leading businesses, like AstraZeneca come into Cambridge because it is an attractive alternative to London."

Mr Carey added: "Double digit increase figures are unsustainable in the long term. I think going into 2015 we will see a more sustained increase."

Cambridge has been named the fastest selling hotspot in the UK for houses – with the average time of just 27 days to sell a home.